How to Increase AOV: Practical Strategies for Beginners
AOV
Updated September 25, 2025
ERWIN RICHMOND ECHON
Definition
Increasing AOV (Average Order Value) means encouraging customers to spend more per transaction; beginners can use tactics like bundling, upsells, free-shipping thresholds, and personalization to lift order size profitably.
Overview
Why focus on AOV first?
For a beginner, improving AOV is often one of the fastest ways to boost revenue without immediately increasing site traffic or ad spend. Raising the average amount each customer spends per order makes marketing more efficient—each acquisition yields greater return. The challenge is to grow order value without cutting margins or harming customer experience.
Core tactics to increase AOV
Below are friendly, practical strategies suitable for beginners. Each includes a short example to show how it works in practice.
- Offer product bundles
- Group complementary items at a slight discount compared to buying them separately. Example: sell a skincare trio (cleanser, toner, moisturizer) for $55 instead of $65, increasing order size and simplifying choice.
- Use upsells at key moments
- Show higher-value alternatives on the product page or just before checkout. Example: a customer chooses a basic backpack ($50); offer a premium version with waterproof fabric and extra pockets for $80.
- Cross-sell complementary items
- Recommend small add-ons that naturally fit the purchase. Example: someone buying headphones for $60 is shown an accessory bundle (case + cable) for $12 at checkout.
- Set free-shipping thresholds
- Encourage customers to add items to reach a free-shipping minimum. Example: if AOV is $45, set free shipping at $65 and promote the savings, prompting customers to add one more item to qualify.
- Use tiered discounts
- Offer discounts that activate at higher order values (e.g., 5% off $75+, 10% off $150+). Example: a shopper with $70 in cart might add a $10 product to hit $80 and get a discount.
- Create limited-time bundles and flash offers
- Scarcity can motivate larger purchases. Example: a weekend-only 'buy two get 20% off' deal for selected product lines.
- Leverage loyalty and rewards
- Give points or credits that kick in at higher spending tiers (e.g., 2x points over $100). Example: customers chasing points will consolidate purchases into bigger orders.
- Personalize recommendations
- Use simple rules or basic recommendation engines to show items most likely to complement the current cart. Example: customers buying running shoes see suggestions for socks and insoles tuned to size and season.
- Improve product page and checkout experience
- Reduce friction so customers can easily add extras. Clear CTAs, obvious shipping messaging, and an unobtrusive mini-cart help customers consider add-ons without abandoning checkout.
Practical testing and measurement
Any tactic should be measured. Start with A/B tests: show a bundle offer to half your visitors and compare AOV, conversion rate, and margin. Track incremental profit, not just revenue—an increase in AOV that destroys margin is counterproductive.
Example calculation
Assume baseline: 1,000 orders, $40 AOV = $40,000 revenue. Introduce a bundle strategy; AOV rises to $45 while conversion holds steady. New revenue = 1,000 x $45 = $45,000. If the bundle reduces margin slightly but still yields higher gross profit, it’s a win. Always model product costs before launching wide promotions.
Fulfillment and packaging considerations
Increasing AOV may change order composition—more items per order or higher weight/size—affecting packing time and shipping costs. Coordinate with your warehouse or fulfillment partner to ensure packaging materials, labeling, and shipping options scale without surprising cost increases. For example, a seller offering frequent bundles might switch to a different box size to reduce void space and freight costs.
Common beginner pitfalls
Beware of these mistakes when optimizing AOV:
- Raising AOV at the expense of conversion rate—don’t force big purchases if customers drop out entirely.
- Applying discounts that eliminate profit—always monitor margin impact.
- Ignoring returns—the more items per order, the higher potential return rates; factor that into tests.
- Neglecting segmentation—what works for high-value customers may not work for first-time buyers.
Quick implementation checklist
To begin increasing AOV today, follow these steps:
- Audit your current AOV and top-selling item combinations.
- Choose one tactic (e.g., bundle or free-shipping threshold) and design a simple test.
- Project the margin impact based on product costs and shipping.
- Run the test for enough time to observe reliable changes and measure AOV, conversion, and margins.
- Iterate based on results and roll out winning approaches with coordination across marketing and fulfillment.
Closing tip
Think of AOV as a lever you can pull with many small knobs—product combos, incentives, UX changes, and personalization. For beginners, incremental, well-measured experiments are better than sweeping changes. Grow AOV in line with profitability and fulfillment capacity, and you’ll see sustainable revenue gains over time.
Tags
Related Terms
No related terms available